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18 Budget Hacks That Can Help You Get Your Finances on Track

Author: Maurie Backman | April 11, 2018

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Try these and watch your cash accumulate

Though Americans are doing a
better job of saving today than in years prior, many of us still have work
to do. In fact, only 39% of U.S. adults have the funds on hand to cover
a $1,000 emergency. If you need a savings boost, then it’s time to rethink
your approach to how you manage and spend your money. Here are a few budget
hacks that’ll help you seamlessly bank more cash.

1. Set up an automatic savings plan

It’s hard to spend money you don’t get access to. If you set
up an automatic savings plan, a portion of each paycheck you receive will go
directly into your savings account, thus eliminating the temptation to blow
that cash needlessly. Set up that plan upon getting a raise, and you won’t even
come to miss that money in the first place.

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2. Use the envelope system

Many of us who maintain a budget do so electronically, such as on a spreadsheet. But a good way to keep your spending in check is to utilize the envelope system, where you designate individual envelopes for your various expenses and fill them with cash at the start of each month. Once you see your cash supply dwindle in a given category, you’ll know to go easy on spending to avoid running out of money completely. Want to take things a step further? Don’t let yourself transfer money between envelopes so that you learn to better manage your expenses on an individual level.

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3. Barter for services rather than pay for them

We all have services we’re used to paying for, whether it’s
having our homes cleaned or our pets groomed. But if you’re willing to give up
a bit of your time, you can save money on certain expenses by bartering for
them instead. For example, if you’re a graphics design wiz and your friend has
a hair-styling business, update her website in exchange for a free cut. You’ll
both save money, making it a win-win.

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4. Read your supermarket circular

That grocery circular you get in the mail isn’t just meant
to take up space; its purpose is to alert you to sale items that could save you
money. So rather than toss that circular, comb through it each week and see
what’s being offered at a discount. If it’s items you were planning to buy
anyway that don’t expire, stock up while you can.

5. Start planning your meals

How many times a week do you find yourself stopping at the
supermarket to pick up a few missing ingredients for dinner when your fridge is
otherwise loaded? Many of us shop for food without putting much thought into
what we actually want to eat in the coming days, and as such, we buy needless
items that end up expiring. A better bet? Figure out a weekly meal plan in
advance, create a shopping list around that plan, and stick to it.

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6. Keep a grocery inventory at home

Buying items you already have on hand is not only
frustrating, but a waste of money. Unfortunately, it’s a trap many of us fall
into frequently. After all, it’s hard to remember which cereal boxes you have
stashed away in the back of your food closet, or which spices you’re running
out of. To avoid doubling up on groceries and wasting money in the process,
create a digital inventory of your pantry and fridge, and consult it before you
buy things. Apps like Google Keep let you store such lists on your phone so
that they’re accessible at all times -- even during an unplanned supermarket
stop.

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7. Get walking

If your office is 20 miles away from your home, then you
have no choice but to drive or take the bus. But if walking to work is a
reasonable endeavor, do so, at least on a part-time basis. Not only is the
exercise good for you, but you stand to save money on gas, parking, bus fares, and
taxi or rideshare costs.

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8. Find a savings buddy

It’s hard to save money when everyone around you is spending their cash like there’s no tomorrow. But if you enlist a like-minded friend with similar goals to save money with you, you can challenge and encourage each other every step of the way. You might even make it interesting, where the first person to bank $500 gets treated to their favorite (cheap) restaurant by the other.

9. Cancel rarely-used subscriptions or memberships

Most of us consistently pay for items we don’t really
utilize, whether it’s the gym
you go to once a week or the video streaming service you watch twice a month if
you’re lucky. If you examine your budget, you’re likely to find at least one
thing you don’t actually need and won’t come to miss, and the sooner
you slash that cost, the more cash you’ll free up.

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10. Unload a vehicle you don't use for commuting

AAA says it
costs $725 a month to own a car when you factor in payments, fuel,
insurance, and maintenance. If you don’t use that vehicle every day, but
rather, on weekends or for the occasional shopping trip, you’ll probably come
out ahead financially by renting a car as needed, or using a rideshare service
multiple times a month. Not only that, but having your own vehicle can be a huge
liability, so unloading it could save you from having to cover a major
unplanned repair.

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11. Carpool to work

The benefit of driving to work on your own is getting to
pick up and leave on your own schedule. But if you’re willing to be flexible,
carpooling with fellow coworkers could save you a bundle over the course of the
year. Besides, if you commit to driving together, you’ll be more likely to show
up on time, which is a good habit to uphold at the office.

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12. Bank your savings when expenses go away

Maybe you finally paid off the car you were financing, or
got rid of those nagging student
loans that were otherwise draining your bank account. But rather than start
spending that cash freely, it pays to keep that now-gone expense in your budget
as a designated savings category. In other words, if you got used to forking
over $250 a month in student debt, start paying that money to yourself by
putting it in the bank. Or, spend a small chunk of it as a reward of sorts, but
save the rest.

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13. Automatically save your change

We’re all used to purchases that generate change -- you pay
$10 for a meal that costs $9.32, or spend $3 on a $2.50 latte.
But did you know that there are several apps out there that let you round your
purchases to the nearest dollar and put the change in savings? Sign up for one
such app, like Acorns, and you’ll build
up some nice additional savings, albeit over time.

14. Buy prescriptions in bulk

If you have a medication you take regularly, ordering it in
90-day supplies could wind up being cheaper than renewing month after month. In
some cases, you might pay less for a three-month supply than you would for a
single month’s batch, so review your prescription benefits to see what makes
the most sense.

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15. Go generic

Whether it’s the medication you take or the supermarket
products you buy on the regular, avoiding brand names is a good way to save
money across the board. For example, 90% of generic drug copays cost less than $20,
compared to just 39% of brand-name copays.
It makes sense to shop around for generics or other such low-cost alternatives,
because you’ll typically get the same benefit, just at a lower price.

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16. Wait 24 hours before buying anything out of the ordinary

When you're on a diet, a good weight loss trick is to drink
a glass of water when you think you're hungry, wait half an hour, and see if that
urge to eat still exists. The same holds true when it comes to the things you
don't usually buy. If you're thinking of purchasing something out of the
ordinary, whether it’s an article of clothing or a new electronic, commit to
waiting 24 hours before pulling the trigger. Chances are, you'll come to
realize that some of those items aren't worth your money.

17. Ask for discounts

Sometimes, the best way to snag a better deal on an existing
expense is simply to ask for it. Whether it’s your cable provider or your local
dry cleaner, if you’re a customer in good standing, it never hurts to request a
price break. Even a small discount could go a long way over the course of a
year.

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18. Examine -- and cut -- your budget quarterly

As life evolves, so too do our habits and needs. That’s why
you should pledge to examine your budget every three months with the goal of
finding at least one expense to reduce or eliminate. You might, for example,
cut your driving costs during the spring or summer, when it’s nice enough to
get places on foot. During the winter, you might curb your leisure costs by
planning at-home movie nights rather than hitting the town. There are tons of
options to play around with, so keep checking that budget and get creative.